Developing a conceptual transport or logistics model for small-scale farmers logistics challenges faced by small-scale farmers in South Africa

Agriculture in South Africa contributes 3% to the total gross value added by different economic activities. This represents a significant decline in the role of agriculture in the South African economy, from 16% in 1950 to 3% in 2009. This decline can be attributed to such things as the relative growth of other economic sectors, competitiveness of agricultural products in other countries, and decline in agricultural production in the country. The hardest hit by these trends are small-scale farmers in the rural areas. For example, as a result of increasing input costs (e.g. fuel and labour), long distances to markets, poor communication infrastructure, and reduced market densities, these small-scale farmers are unable to sustain their productions. Food chain logistics is a substantial component of the agro-logistics system as a whole. The study was undertaken in Port St. Johns, Eastern Cape. A conceptual transport or logistics model is then developed. The model inputs consist of products and volumes to be transported, locations (of both products and potential markets), and potential vehicle types. The outputs are: optimized routes and costs, and suitable vehicle types.